The report presents trends and forecasts for coal demand, supply and trade by grade and by region.
Trajectory of Coal Usage
- Coal Demand: It is expected to shrink in advanced economies accompanied with growth in few emerging economies E.g. India, China, Indonesia.
- India: It is expected to see the largest increase in coal demand based on high power demand linked to economic growth.
- Coal Production: Globally, it is expected to reach an all time high in 2024 and then flatten through 2027.
- India is expected to be the largest contributor to global coal production growth.
- Indian coal production increased by 10% (2023), exceeding 1 billion tonnes for the first time.
- In 2024, coal production is expected to have grown by 8%.
Reasons for persistent usage of coal
- Rising demand: Linked to power, industrial growth, and infrastructure development to fulfill goals of economic growth.
- Weather-related fluctuations: Fluctuations in power generation by renewable sources like wind and solar are offset by constant, reliable and affordable coal power.
- Electrification of services previously provided by other fuels: E.g. mobility and industrial heat, and emerging industries such as data centres and AI.
- Profitability of Coal Exporters: It surged after Covid-19 and the energy crisis of 2022.
India’s Initiatives for optimization of Coal Usage
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